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Report Date : |
29.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
ABAHOUSE INTERNATIONAL CO LTD |
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Registered Office : |
Tokyo Tatemono Higashi-Shibuya Bldg, 1-26-20, 3-7 Higashi Shibuyaku 150-0011 |
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Country : |
Japan |
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Financials (as on) : |
28.02.2013 |
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Date of Incorporation : |
February 1986 |
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Com. Reg. No.: |
(Tokyo-Meguroku) 000361 |
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Legal Form : |
Limited Company |
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Line of Business : |
Import, wholesale, retail of casual wear, accessories, jewelry, daily items |
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No. of Employees : |
560 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
|
Litigation : |
-- |
NOTES :
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Japan |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
JAPAN - ECONOMIC OVERVIEW
In the years following World War II, government-industry
cooperation, a strong work ethic, mastery of high technology, and a
comparatively small defense allocation (1% of GDP) helped Japan develop a
technologically advanced economy. Two notable characteristics of the post-war
economy were the close interlocking structures of manufacturers, suppliers, and
distributors, known as keiretsu, and the guarantee of lifetime employment for a
substantial portion of the urban labor force. Both features are now eroding
under the dual pressures of global competition and domestic demographic change.
Japan's industrial sector is heavily dependent on imported raw materials and
fuels. A small agricultural sector is highly subsidized and protected, with
crop yields among the highest in the world. While self-sufficient in rice
production, Japan imports about 60% of its food on a caloric basis. For three
decades, overall real economic growth had been spectacular - a 10% average in
the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth
slowed markedly in the 1990s, averaging just 1.7%, largely because of the after
effects of inefficient investment and an asset price bubble in the late 1980s
that required a protracted period of time for firms to reduce excess debt,
capital, and labor. Modest economic growth continued after 2000, but the
economy has fallen into recession three times since 2008. A sharp downturn in
business investment and global demand for Japan's exports in late 2008 pushed
Japan into recession. Government stimulus spending helped the economy recover
in late 2009 and 2010, but the economy contracted again in 2011 as the massive
9.0 magnitude earthquake and the ensuing tsunami in March disrupted
manufacturing. The economy has largely recovered in the two years since the
disaster, but reconstruction in the Tohoku region has been uneven.
Newly-elected Prime Minister Shinzo ABE has declared the economy his
government's top priority; he has pledged to reconsider his predecessor's plan
to permanently close nuclear power plants and is pursuing an economic
revitalization agenda of fiscal stimulus and regulatory reform and has said he
will press the Bank of Japan to loosen monetary policy. Measured on a
purchasing power parity (PPP) basis that adjusts for price differences, Japan
in 2012 stood as the fourth-largest economy in the world after second-place
China, which surpassed Japan in 2001, and third-place India, which edged out
Japan in 2012. The new government will continue a longstanding debate on
restructuring the economy and reining in Japan's huge government debt, which
exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth,
and an aging and shrinking population are other major long-term challenges for the
economy.
Source
: CIA
ABAHOUSE INTERNATIONAL CO LTD
REGD NAME: KK
Abahouse International
MAIN OFFICE: Tokyo
Tatemono Higashi-Shibuya Bldg, 1-26-20, 3-7 Higashi Shibuyaku 150-0011
Tel:
03-3406-2600 Fax: 03-3462-6463
*.. Registered at:
1-17-6 Aobadai Meguroku Tokyo 153-0042, as given
URL: http://www.abahouse.co.jp/
E-Mail address: info@abahouse.co.jp;
welinfo@abahouse.co.jp
(online shop)
Import, wholesale,
retail of casual wear, accessories, jewelry, daily items
Tokyo (2), Osaka
192 shops
nationwide
(subcontracted)
YOICHI MAGISHI, CH Moriyasu Okada, ch
Hideyuki Tokita,
dir Kiyohiro Hara, dir
Masahiro Kubo, dir Yasuyuki Kimura, dir
Yen Amount: In million Yen, unless otherwise stated
FINANCES FAIR A/SALES Yen 19,840 M
PAYMENTSREGULAR CAPITAL Yen
30 M
TREND STEADY WORTH Yen 6,819 M
STARTED 1986 EMPLOYES 560
TRADING HOUSE SPECIALIZING IN CLOTHING & ACCESSORIES.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD
FOR ORDINARY BUSINESS ENGAGEMENTS.
The subject company
was established by Yoichi Magishi in order to make most of his experience in
the subject line of business. This is a
trading house, with mfg division, for import, wholesale and retail of casual
clothing, bags, watches, jewelry, sunglasses, other accessories. While handling designers’ brand goods, some
goods are originally designed & subcontracted mfg to overseas &
domestic mfrs. Operates in-shops at
major department stores, chain stores, etc, operating 192 stores
nationwide. Also, retails online. Regularly conducts seasonal sales campaigns
centrally in the Tokyo region. Imports
are mostly through general trading houses.
The sales volume for Feb/2013 fiscal term
amounted to Yen 20,910 million, a 5% up from Yen 19,840 million in the previous
terms. New stores opened. New original brands sold well. The recurring profit was posted at Yen 202
million and the net profit at Yen 95 million, respectively, compared with Yen
220 million recurring profit and Yen 110 million net profit, respectively, a
year ago.
For the current term ending Feb 2014 the
recurring profit is projected at Yen 300 million and the net profit at Yen 100
million, respectively, on a 3% rise in turnover, to Yen 21,500 million.
The financial
situation is considered FAIR to GOOD and good for ORDINARY business
engagements.
Date Registered:
Feb 1986
Regd No.:
(Tokyo-Meguroku) 000361
Legal Status: Limited Company (Kabushiki Kaisha)
Authorized: 2,400 shares
Issued:
600 shares
Sum: Yen 30 million
Major shareholders (%): ABA House
Holdings* (100)
*.. Holding
company owned by the Okada family
Nothing
detrimental is known as to the commercial morality of executives.
Activities: Imports,
wholesales and retails coats, jackets, shirts, T-shirts, knitwear, skirts,
tank-tops, slacks, sneakers, socks, handbags, wallets, fingerings, earrings,
bracelets, pendants, watches, belts, leather jackets, other clothing and
clothing accessories, mug cups, sunglasses, lighters, others (--100%).
Goods are retailed at own shops, in-shops
(department stores) and online, too.
(Wholesale 50%, retail 50%)
Brands
handled: United Arrows, Journal Standard, nano universe, BEAMS, Alfreda
Bannister, PORTER, SOPH, etc.
Clients: [Department
stores, chain stores, consumers] Takashimaya, Daimaru Matsuzakaya Department
Store, Seibu Department Stores, Hankyu Department Store, Sogo, Isetan
Mitsukoshi, Sogo Seibu Department Store, Lumine, other.
No. of accounts:
300 (wholesale div only)
Domestic areas of
activities: Nationwide
Suppliers: [Mfrs,
wholesalers] Marubeni Corp, Takisada Nagoya, NI Teijin Shoji, Itochu Mode Pal,
Kanematsu Textile Corp, other.
Payment record: Regular
Location: Business area in
Tokyo. Office premises at the caption
address are leased and maintained satisfactorily.
Bank References:
SMBC (Aoyama)
MUFG (Aoyama)
Relations:
Satisfactory
(In Million Yen)
|
Terms Ending: |
|
28/02/2014 |
28/02/2013 |
29/02/2012 |
28/02/2011 |
|
Annual
Sales |
|
21,500 |
20,910 |
19,840 |
18,852 |
|
Recur.
Profit |
|
300 |
202 |
220 |
.. |
|
Net
Profit |
|
100 |
95 |
110 |
223 |
|
Total
Assets |
|
|
11,668 |
19,840 |
N/A |
|
Net
Worth |
|
|
6,800 |
6,800 |
6,819 |
|
Capital,
Paid-Up |
|
|
30 |
30 |
30 |
|
Div.P.Share(¥) |
|
|
0.00 |
0.00 |
0.00 |
|
<Analytical Data> |
(%) |
(%) |
(%) |
(%) |
|
|
S.Growth Rate |
2.82 |
5.39 |
5.24 |
1.23 |
|
|
Current Ratio |
|
|
.. |
.. |
.. |
|
N.Worth Ratio |
|
58.28 |
34.27 |
.. |
|
|
N.Profit/Sales |
0.47 |
0.45 |
0.55 |
1.18 |
|
Notes: Financials are only partially disclosed.
Forecast (or estimated) figures for 28/02/2014 fiscal term.
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in February
2013. A senior executive of GJEPC said, “Export of cut and polished diamonds
started falling month-wise after the imposition of 2 % of import duty on the
polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.74 |
|
|
1 |
Rs.84.17 |
|
Euro |
1 |
Rs.72.02 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors and their relative weights (as
indicated through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.